“SkyePharma had a solid financial performance during 2010, finishing the year with liquidity of £29.7 million, compared with £29.3 million at the end of 2009.

“Flutiform™ remains an important potential value driver for the business and we are working with our partner Mundipharma to prepare for its launch, subject to approval, in Europe later this year. Phase III studies are now underway in Japan, a large and under-served market in the treatment of asthma. We are seeing solid progress in the rest of our pipeline in significant areas including insomnia and diabetes and with external projects such as EXPAREL™, which could be approved in the US later this year. The quality of our drug delivery technology is being demonstrated every day in our broad portfolio of marketed products and we are accelerating our efforts to identify new partnerships, with a number of feasibility studies underway financed by partners.”

The results presentation has been published on the Company’s website and a webcast of the analysts’ conference will be available later today.

Using its proprietary drug delivery technologies, SkyePharma develops new formulations of known molecules to provide a clinical advantage. The Group has twelve approved products in the areas of oral, inhalation and topical delivery. The Group’s products are marketed throughout the world by leading pharmaceutical companies. For more information, visit www.skyepharma.com.